Now more than ever, insulation and air sealing pay off! New federal income tax credits are available through 2032—providing up to $1,200 each year to lower the cost of energy-efficient home upgrades. Check out these unique ways to cover some of your project costs through the tax credits and rebates available to you.

Residential Efficiency Tax Credit

The Residential Efficiency Tax Credit offers homeowners the opportunity to receive a tax credit of 30% for insulation and air sealing materials installed in their primary residence—up to $1,200 in costs. The credit is available on a yearly basis until December 31, 2032. After installation, use IRS Form 5695 to apply for the credit.

Learn more about the federal insulation tax credit here.

Rebates through the HOMES Act

Rebates are available for homeowners who make performance-based whole home efficiency upgrades. The rebate savings include:

• For homes achieving 20-35% modeled energy savings – rebate of the lesser of $2,000 or 50% project cost.
• For homes achieving at least 35% modeled energy savings – rebate of the lesser of $4,000 or 50% project cost.
• For homes achieving at least 15% measured energy savings – rebate payment rate per kWh saved, equal to $2,000 for a 20% reduction, or 50% project cost.

Department of Energy (DOE) Electrification Program

The DOE Electrification Program offers rebates for insulation, air sealing and ventilation upgrades for eligible homeowners. Specifications include:

• 50% of the cost of insulation up to $1,600 for households with annual incomes of 80-150% of area median income.
• 100% of the cost of insulation up to $1,600 for households with annual incomes less than 80% of area median income.

Looking for even more ways to save money? Check out our Discounts and Savings page for exclusive deals for homeowners who choose Thrice.